(MENAFN) The US gross domestic product (GDP) developed only 1.2 percent throughout the April-June quarter, based on the Commerce Department's latest reports.
The figure was far weaker than the projections of most analysts, who had anticipated growth of twice that pace in a bounce-back from a drop at the start of the year.
In more detail, the biggest element for the shortfall in GDP growth over the previous quarter was that businesses reduced their restocking by the most since 2011.
In accordance, the pullback in stockpiling subtracted 1.2 percentage points from annualized growth in the three months to June period, more than economists had projected.
However, many economists strongly forecast a better performance in the coming quarter, thus there's a strong possibility that the Fed will resume raising rates as soon as Sept.
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